Homework: Chapter 9 Homework (required) Score: 0.33 of 1 pt 9 of 9 (B completel P9-54A (similar to Data Table Dalton Manufacturing is preparing its master budget for the fiet quarter of the upcoming year. (click the icon to view addtional data. (click the icon to view the data of D mber 31 (p Read the teguiremenka. Cash 4.500 2,475 2425 2A Plus: Desired endng 47,000 Accounts receivable, net 2,325 29,525 5,700 2000 2.300 2.000 Less: Beginning inventory Property, plant and equipment, net 8.300 9.37 9,860 Units to produce Accounts payable 42.400 Capital stock Requirement 3 Prepare direct materials budget (Round your answers to the nearest Retained earnings 22,600 Dalton Manufacturing Materials Budget Pint Done For the Quarter Ended March 3 Month January February Units to be produced 375 9,850 Multiply by: Quantity (pounds) of DM needed per Quantity (pounds needed for product .875 880 Pus Desired endng inventory of DM Total quantity (pounds neede 8,475 20,720 21,680 56,930 Less: Beginning inventory of DM Quantity (pounds) to purchB8e 6815 8,845 9,610 200 2.00 2.00 Multiply by: Cost per pound 33630 39.220 Total coat of DM purchases Requirement 4 Prepare a cash payments budget for the direct material purchases from Requirement 3 Round your answers to the nearest whole doll Dalton Manufacturing Cash Payments for Direct Materials Budget For the Q rter Ended March 3 January February March Quarter 42400 20% of current month DM purchases of last th's DM purcha 49,126 34,442 h payments he edit fields and then click Cheak Ans 9 ring Clear All HW Score: 78.83%, 7.1 of 9 pts More Info S70,000. Selling pri per unit is projected to remain stable at S10 per a. Actu it throughout the budget period. Sales for the frst five months of the upcoming year are budgeted to be as follows: 80,000 February 92,000 99,000 97,000 85,000 b. Sale h and 70% dit. All credit sales th following the sale c.Dalton Manufacturing has a policy thatuta.es that each monthe endng inventory ished goods should be 25% of the following month's sales (nunits), d.Of months direct material purchases, 20% paid for in the month of purch while th maind is paid or month folowing purchase. Two pounds of direct material is needed per unit at S2.00 per pound. End inventory of direct should be 10% of 0. Most of the labor at the man facturing facility is indirect, but there some direct bor incurred. The direct labor hours per uni 01.The direct labor rate per hour is ur All direct labcris paid for in the month in which the work is perommed The irect labor total st for each the upcoming follows: February 26 S5,000 for factory rent,$3,000 for other fixed ufactul expenses, and $1.20 per nit for variable manufacturing overhead. No depreciation is included intheee figures. All expenees are paid in the month in which they are incurre in the upcoming quarter. In Ja will purchase equipment lor S5,000 (cash While February's cash expenditure will be $12,000 and March's cash expenditure be $16,000. h operating expenees are budgeted to be $1.00 per un eodpusfixed operating expenses of S1,000 per month. Al operating paid in the month they ion on the b g and a pment for the general and administrative offices is budgeted to be $4,600 for the entire uarter, which includes depreciaticn on new acquiaitona. J. Dalton M facturing has a policy that the endng cash ball th must be at least $4,000. It ine of credit with cal ba The company can borrow in increments of $1,000 at the beginning of each month, up lo a total outstanding loan of $110,000. The interest rate these loans is 1% per imple interest (not compounded The comp pay down on the line of credit bala nce in increments of $1,000 has excess funds at the end of the quarter. The company would a30 pay the accumulated interest at the end of Quarter cn the bomowed during the quarter ry's le is proj ed to be 30% of operating less interest expense. The company pays $10,000 cash at the end February in estimated taxe8 Done Check